COVID-19 Economic Crisis – Impact on Transfer Pricing

COVID-19 has resulted in major economic disruption and a drop in economic activity unprecedented in recent history. Cross-border dealings and international transactions will likely be impacted, as corporate enterprises explore different ways of keeping their operations running while remaining within the limits of government-prescribed restrictions. It is prudent for corporate enterprises to analyse any impact on their business due the COVID-pandemic and revisit any inter-company policy now rather than later. This can be supported by maintaining contemporaneous and robust documentation which will be available with the enterprises at this juncture.